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Do consumers prefer personalised ads?

There was a stat from 2016, that 71% of consumers prefer personalised ads. This then became the foundation for businesses investing their advertising in personalisation and tailored advertising strategies.

In the last three years, however, consumer awareness about data privacy has increased, while GDPR meant advertisers’ collection and use personal data became a mainstream focus. Does this mean that the position has shifted? Should brands still be investing in personalised ads?

The landscape in 2019

First, let’s take a look at some stats surrounding personalisation in 2019 as we move into 2020.

  • 79% of consumers say that they are only likely to engage with an offer if it has been personalised to reflect previous interactions they’ve had with that brand.
  • By 2020, 51% of consumers expect that companies will expect their needs and make relevant suggestions before they make contact.
  • Four out of every five consumers are more likely to make purchases when a brand gives them a personalised experience.
  • 71% of consumers were frustrated that their shopping experience was too impersonal.

From a consumer perspective it suggests that personalisation is still a desirable tactic from brands. In fact, it’s an expectation.

In terms of performance, stats from this year also illustrate that 88% of marketers in the US saw measurable campaign improvements due to personalisation, with more than half reporting an increase of more than 10%.

The data conundrum

For many consumers, the desire for personalisation comes with a cost in terms of the collection of their personal data. We know a high proportion of users demand personalisation, but 86% of users are also worried about the use of their personal data.

This contributes to a data conundrum for many consumers. They want personalisation but are uncomfortable with the use of their personal data.

Personalisation and ad fatigue

Ad fatigue is a very real concept. Consumers are getting tired of brands repeatedly showing them the same non-relevant ads. The sheer volume of ads competing for their attention has caused over-saturation and an unwillingness to engage with these brands.

The result has been an increase in the use of ad blockers and a desire for an ad-free online experience.

For many brands this can be a scary concept, but in fact it is all the more reason to invest in personalised ads. In the era of ad fatigue, the ability to stand out and pack a punch with your advertising will win with consumers.

Serving users with hyper-relevant ads based on their location, age, interactions with your brand and shopping habits for example, will transform the way you engage with your customers.

Personalisation with Fluid Ads

At Fluid Ads, we enable brands to engage with their users through hyper-relevant and tailored ads, with tactics including Retargeting, Geotargeting, and Contextual targeting.

Through our Ad Builder you have the ability to build beautiful, feature-rich, multi-format and award-winning HTML5 ads at scale, while the use of Dynamic Creative ensures that you will always serve the right ad to the right user at the right time.

Learn more about how Fluid Ads can enhance your approach to personalisation and boost the performance of your digital display advertising.

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